CBDT Notification Reg Filing Of TDS Forms 15G-15H U/s 197A Of Income-Tax Act

The CBDT has issued Notification dated 30th May 2017 with regard to the obligation of the recipients/ payees to furnish to the payer a self-declaration in Form No.15G/15H under section 197A of the Income-tax Act, 1961 read with Rule 29C




F.No. Pr. DGIT(S)/CPC(TDS)/NOTIFICATION/2017-18

Government of India
Ministry of Finance
Central Board of Direct Taxes
Directorate of lncome-tax(Systems)
New Delhi.

Notification No. 6/2007

New Delhi, 30th May, 2017

Subject: Declaration in Form 15G-15H to be furnished to the Deductor/Payer for each Financial Year – Clarifications -reg

The provisions of section 197A of the Income-tax Act, 1961(‘the Act’) inter alia provide that tax shall not be deducted, if the recipient of certain payment on which tax is deductible furnishes to the payer a self-declaration in Form No.15G/15H in accordance with provisions of the said section. The manner of filing such declarations and the particulars have been laid down in Rule 29C of the Income-tax Rules, 1962 (‘the Rules’) w.e.f 1.10.2015 vide Notification No.76/2015 dated 29.09.2015.

2. Representations have been received for clarification on the issue as to whether a depositor should submit only one declaration in respect of the income each year before each person responsible for making the payment (Deductor) or Form 15G/ 15 H has to be submitted each and every time the payment is due to be received from the deductor. A view has been expressed in certain quarter s that it will be sufficient if only one declaration is made in respect of the income each year before each person responsible for making the payment drawing the basis from Circular: 351, dated 26-11-1982. Para 5 of this circular is quoted as follows:

“The declaration in Form No. 15F, 15G or 15H as explained above is to be furnished to the person responsible for paying the income which is sought to be received without deduction of tax at source. As the declarant has to state that his estimated total income of the previous year in which the income of the nature referred to in section 193, 194 or 194A is to be included in computing his total income is below the exemption limit, it will be sufficient if only one declaration is made in respect of the income each year before each person responsible for making the payment. Hence, where payments are to be made by the same person more than once in a year, the declaration in the relevant form may be furnished before the first payment in a year becomes due. It may also be noted that in the declaration in Form No. 15 F, 15G or 15H part iculars of only such securities, shares or, as the case may be, other deposits are to be furnished the income from which is payable by the person to whom the declaration is furnished. For ex ample, in the declaration in Form No. 15G furnished to company ‘A’ it is not necessary for the declarant to give particulars of the shares held by him in other companies.”

3. A holistic reading of the Circular provides that when the income for each year changes, new form 15G/15H has to be filed. A similar position is taken up in notification No. 76/2015 dated 29-09-2015 vide guidance note 6,7 and 8 and new column 17, 18, and 19 in form 15G and guidance note 5,6 and 7 and new column 16, 17, and 18 in form 15H. Thus, whenever the estimated total income/ aggregate income changes and new investments are made, one needs to file new form 15G/15H providing particulars of the same. However, in case of old investments he needs to provide total number of earlier declarations filed in form 15G/15H and aggregate amount of income for which such Form 15G/15H have been filed.

4. Therefore, it is hereby clarified that the amended new forms 15G & 15H vide CBDT Notification No 76 dated 29thSeptember, 2015 require the depositor to furnish the details of all investments up to that date including the current Fixed Deposit for which the Form 15G/15H is being given and which are to be listed in Form 15G/15H to enable the deductor/payer to ascertain, whether the Form 15G/15H can be accepted.

5. This issues with the approval of the Principal Director General of Income-tax (Systems).

(P. S. Thuingaleng)
Dy. Commissioner of Income Tax (CPC–TDS)
O/o The Pr. Director General of Income-tax (Systems)


3 comments on “CBDT Notification Reg Filing Of TDS Forms 15G-15H U/s 197A Of Income-Tax Act
  1. Yashwantray Manilal Mehta says:

    Sir my gross income is rupees 500000/-(rs. five lacs) including pension and fd interest.After all tax benefit and investment my taxable income comes to rs. nearby rupees 240000/-(rupees two lakhs forty thousand. Now i wants to know that I can submit my 15H form.

    after

  2. Yashwantray Manilal Mehta says:

    Sir my gross income is rupees 500000/-(rs. five lacs) including pension and fd interest.After all tax benefit and investment my taxable income comes to rs. nearby rupees 240000/-(rupees two lacs forty thousand. Now i wnats to know that I can submit my 15H form.

    after

  3. Varaprasad Daitha says:

    The Government of India ​is making the life of the citizen a simpler way. In this process the Income tax department had taken several measures to minimize the contacts with its officers and staff. But the officer who issued the above circular appears to be not willing with the Government of India’s policies and programs. I explain here under how?

    He states that whenever the income changes a new form 15G / 15H were to be filed. Many of the depositors are making deposits for periods for more than one year in order to get higher rates of interest. Such people have to file form 15G / 15H once in the beginning g of April every year and later whenever the deposits are renewed.

    In the case of my clients who are comprising 5 assessees having deposits of one lakh for each such deposit totaling to about Rs. 50 lakhs have to go to the bank branch once in the beginning of the financial year and later whenever the deposit was renewed. I think that it was not the concept of Government of India.

    ​It ​may also be noted that some banks are insisting to file such forms 15G / 15H only before 7th of each month.

    We wonder why the limbs of finance ministry behave in different ways as per their whims and fancies.

    ​The circular had cited the circular issued in the year ​ Circular: No. 351, dated 26-11-1982 why it was given a go bye till 31-03-2017 is for any one’s guess.

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